Agenda of Albert-Eden Local Board - Thursday, 23 February 2023

1 Nau mai | Welcome

2 Ngā Tamōtanga | Apologies

At the close of the agenda no apologies had been received.

3 Te Whakapuaki i te Whai Pānga | Declaration of Interest

Members are reminded of the need to be vigilant to stand aside from decision making when a conflict arises between their role as a member and any private or other external interest they might have.

4 Te Whakaū i ngā Āmiki | Confirmation of Minutes

That the Albert-Eden Local Board:

a) confirm the minutes of its ordinary meeting, held on Tuesday, 24 January 2023, as true and correct.

5 He Tamōtanga Motuhake | Leave of Absence

At the close of the agenda no requests for leave of absence had been received.

6 Te Mihi | Acknowledgements

At the close of the agenda no requests for acknowledgements had been received.

7 Ngā Petihana | Petitions

At the close of the agenda no requests to present petitions had been received.

8 Ngā Tono Whakaaturanga | Deputations

Standing Order 7.7 provides for deputations. Those applying for deputations are required to give seven working days notice of subject matter and applications are approved by the Chairperson of the Albert-Eden Local Board. This means that details relating to deputations can be included in the published agenda. Total speaking time per deputation is ten minutes or as resolved by the meeting.

8.1 Deputation - Sam Bhattacharya - Sport Auckland

Te take mō te pūrongo

Purpose of the report

1. To enable an opportunity for Sam Bhattacharya - Community Sport Advisor, Sport Auckland, to deliver a presentation during the Deputation segment of the business meeting.

Whakarāpopototanga matua

Executive summary

2. Sam Bhattacharya - Community Sport Advisor, Sport Auckland, will be in attendance to deliver a presentation outlining the organisation’s work programme in the local area.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) thank Sam Bhattacharya - Community Sport Advisor, Sport Auckland, for his attendance and Deputation presentation regarding the organisation’s work programme in the local area.

8.2 Deputation - Pauline Sheddan - Coyle Street residents' views on 'Own Your Own Home' scheme

Te take mō te pūrongo

Purpose of the report

1. To enable an opportunity for Pauline Sheddan - resident, to deliver a presentation during the Deputation segment of the business meeting.

Whakarāpopototanga matua

Executive summary

2. Pauline Sheddan - resident, will be in attendance to deliver a presentation outlining Coyle Street residents’ concerns regarding the intended sale of the council portion of the ‘Own Your Own Home’ Scheme.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) thank Pauline Sheddan - resident, for her attendance and Deputation presentation regarding Coyle Street residents’ concerns regarding the intended sale of the council portion of the ‘Own Your Own Home’ Scheme.

8.3 Deputation - Heather Lyall – Eco-Neighbourhood group

Te take mō te pūrongo

Purpose of the report

1. To enable an opportunity for Heather Lyall – Eco-Neighbourhood group, to deliver a presentation during the Deputation segment of the business meeting.

Whakarāpopototanga matua

Executive summary

2. Heather Lyall – Eco-Neighbourhood group, will be in attendance to deliver a presentation outlining the ‘Community Corners, Mt Albert Eco-Neighbourhood’ project, which is a newly formed neighbourhood project group that works to enhance the green spaces at the junction of Martin Avenue and Rossgrove Terrace, Mt Albert.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) thank Heather Lyall – Eco-Neighbourhood group, for her attendance and Deputation presentation regarding the ‘Community Corners, Mt Albert Eco-Neighbourhood’ project.

Attachments

a Powerpoint Presentation............................................. 205

9 Te Matapaki Tūmatanui | Public Forum

A period of time (approximately 30 minutes) is set aside for members of the public to address the meeting on matters within its delegated authority. A maximum of 3 minutes per item is allowed, following which there may be questions from members.

At the close of the agenda no requests for public forum had been received.

10 Ngā Pakihi Autaia | Extraordinary Business

Section 46A(7) of the Local Government Official Information and Meetings Act 1987 (as amended) states:

“An item that is not on the agenda for a meeting may be dealt with at that meeting if-

(a) The local authority by resolution so decides; and

(b) The presiding member explains at the meeting, at a time when it is open to the public,-

(i) The reason why the item is not on the agenda; and

(ii) The reason why the discussion of the item cannot be delayed until a subsequent meeting.”

Section 46A(7A) of the Local Government Official Information and Meetings Act 1987 (as amended) states:

“Where an item is not on the agenda for a meeting,-

(a) That item may be discussed at that meeting if-

(i) That item is a minor matter relating to the general business of the local authority; and

(ii) the presiding member explains at the beginning of the meeting, at a time when it is open to the public, that the item will be discussed at the meeting; but

(b) no resolution, decision or recommendation may be made in respect of that item except to refer that item to a subsequent meeting of the local authority for further discussion.”

Albert-Eden Local Board

23 February 2023

Nomination to Carrington Road Improvements Community Liaison Group

File No.: CP2023/01410

Te take mō te pūrongo

Purpose of the report

1. To request the nomination of one Albert-Eden Local Board member to participate within the Community Liaison Group Auckland Transport (AT) is establishing to support the Carrington Road Improvements project.

Whakarāpopototanga matua

Executive summary

2. As part of the Carrington Road Improvements project, AT is undertaking a Detailed Business Case (DBC) to determine a preferred option to upgrade Carrington Road.

3. A letter is being distributed locally to invite participation in a Community Liaison Group (CLG), established by AT. The CLG will support local engagement and consultation.

4. AT seeks one Albert-Eden Local Board member to participate within the Carrington Road Improvements CLG.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) nominate an Albert-Eden Local Board member to attend Community Liaison Group meetings for the Carrington Road Improvements project as a local board representative.

Horopaki

Context

5. Carrington Road performs an important strategic role within the transport network, providing one of three north-south connections across the State Highway network within the western portion of the Auckland Isthmus.

6. A significant development (2,500 to 4,000 homes in the next 10 to 15 years) is planned in the precinct adjacent to the Carrington Road corridor, alongside Unitec.

7. Carrington Road corridor needs to be upgraded to provide for bus priority, improved walking and cycling facilities, and safety improvements to achieve AT’s long-term strategic network objectives for the corridor and to enable growth and intensification in the surrounding area.

8. A Detailed Business Case (DBC) will confirm AT’s preferred long-term option for the corridor upgrade, its layout, and staging. Delivery is expected in the next three to four years.

9. AT has been awarded $113m funding for the life cycle of the project, including the current DBC phase, from Kāinga Ora’s Infrastructure Acceleration Fund (IAF).

10. The project includes an upgraded cycleway and will incorporate community feedback and learnings from the 2022 consultation on an upgrade to the existing Carrington Road Cycleway. The Carrington Road Improvements project gained funding through the Government’s Infrastructure Acceleration Fund and has been brought forward for early delivery. Because of this, the cycleway upgrade consulted on in 2022 will not go ahead as a separate project. The Carrington Road Cycleway project team will update the Albert-Eden Local Board on the feedback received and how this will be closed out with the community.

11. A project information flyer (attached) has been delivered to Carrington Road and the surrounding area.

Tātaritanga me ngā tohutohu

Analysis and advice

12. The primary vehicle for local engagement on behalf of the project will be a CLG, comprising project team members, project partners, and key stakeholders.

13. The project will establish a CLG early in the project, to provide a focus for ongoing two-way communication and engagement.

14. This is considered an effective way to engage meaningfully with the local community and enable their fullest participation in the project.

15. Headed by an independent facilitator, the group's membership will include representation from:

· The project team

· The Albert-Eden Local Board

· Mana whenua

· Local residents

· Local business owners or business advocate

· The developers (Ministry of Housing and Urban Development and ngā rōpu)

· Unitec

· School and early childhood education providers

· Healthcare providers

· Bike Auckland/Ōwairaka.

16. The anticipated meetings are as follows:

Workshop programme	Key objectives	Timeframes
1. Scene setting, place and movement	Place based and sharing insights Define benefits and generating ideas for improvements	February 2022
2. Developing approaches	Developing approaches and defining priorities	March 2022
3. Emerging options and assessments	Emerging options and design assessments Feedback prior to consultation Sharing draft consultation materials	April 2022
4. Conclusion of consultation	Presenting findings from public consultation and continuing the conversation, define options and next steps	August 2022

17. AT has distributed a letter (attached) to addresses along Carrington Road, inviting applications to participate in the CLG.

18. Within the CLG, the role of the Board member will be to represent the views of the community and provide input based on their understanding of the local strategic and policy context.

Tauākī whakaaweawe āhuarangi

Climate impact statement

19. The project helps Auckland reach the goal set within Te Tāruke-ā-Tāwhiri (Auckland's Climate Plan) to halve our regional emissions by 2030.

20. The project will help Auckland achieve by 2030, a six-fold increase in public transport use and a 10-fold increase in the distance travelled by walking, cycling, and micromobility, as set out in the Transport Emissions Reduction Pathway (TERP).

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

21. No other organisation in the Auckland Council family is required to input into the established of a CLG for this project.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

22. The Albert-Eden Local Board is a valued project partner with whom the project will engage regularly, to keep the Board informed and seek their feedback.

23. The project will provide the Albert-Eden Local Board with advance notice of community engagement activity, including distribution of collateral.

24. The Albert-Eden Local Board is invited to participate as a project partner within the project’s Community Liaison Group.

Tauākī whakaaweawe Māori

Māori impact statement

25. The project is working in partnership with mana whenua, engaging via Auckland Transport’s Central Hui.

26. Mana whenua have been invited to participate within the project’s Community Liaison Group.

27. The project values the cultural and historical knowledge held by mana whenua.

Ngā ritenga ā-pūtea

Financial implications

28. Nominating a member to attend the CLG does not have an financial implications for the local board. Costs associated with the CLG will be met by the project budget.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

29. Refer to the table below:

Risk description

Causes

Consequences

Mitigations

External stakeholders not identified.

· Wide range of interested parties and sign-offs.

· Inadequate assessment of external stakeholders.

· Potential project delay.

· Increased likelihood of opposition to project.

· Reputational damage to AT.

· Consultation & Engagement plan identifies external stakeholders/ groups.

Multi-agency project involvement leads to mixed messaging.

· Multi-agency project involvement.

· Project drivers differ between agencies/organisations.

· Inconsistent messages to community.

· Stakeholder confusion.

· Increased likelihood of opposition to project.

· Reputational damage to AT.

· Consultation & Engagement plan defines key messages and engagement programme.

· Early and ongoing engagement with project partners.

Conflict with previous New North Road consultation

· Project misalignment / different timelines.

· Inconsistent messages to community.

· Stakeholder confusion.

· Increased likelihood of opposition to project.

· Reputational damage to AT.

· Understand any impacts on New North Road design.

· Align project messaging with New North Road.

· Align community engagement with New North Road where practicable.

Insufficient time to sufficiently engage with the community.

· The project timeline needs to align with development within the Wairaka Precinct.

· Need to meet IAF milestones

· Increased likelihood of opposition to project.

· Reputational damage to AT.

· Consultation & Engagement plan maps out engagement and maximises the time available.

· Engage early/regularly with Community Liaison Group.

· Consultation & Engagement activity is well-resourced.

Public/stakeholder opposition to the project.

· Misinformation/misunderstanding about project aims/outcomes, e.g. forcing people to use buses.

· Public not aligned with DBC outcomes.

· Property concerns, e.g. devaluation.

· Key issue sparks opposition, e.g. parking or tree removal.

· Community feels they haven’t been consulted.

· Potential project delay.

· Reputational damage to AT.

· Engage early/regularly with Community Liaison Group, stakeholders and project partners.

· Consultation & Engagement plan defines key messages.

· Identify risks and develop strategy to mitigate, e.g. tree removal.

· Link project to Wairaka Precinct development, i.e. project needed in order to support development.

Ngā koringa ā-muri

Next steps

30. AT will establish the CLG membership and hold the first of four CLG meetings in late February.

Ngā tāpirihanga

Attachments

No.	Title	Page
a ⇩	Project information flyer	15
b ⇩	Community Liaison Group letter	17

Ngā kaihaina

Signatories

Author

Lorraine Stone – Principal Planner Strategic Projects

Authorisers

Caroline Tauevihi – Central Hub Manager

Nina Siers - Local Area Manager

Albert-Eden Local Board

23 February 2023

Endorsement of Inner West Cycling and Walking Project – Point Chevalier to Westmere cycling, bus and walking improvements

File No.: CP2023/01469

Te take mō te pūrongo

Purpose of the report

1. To seek endorsement from the Albert-Eden Local Board to proceed with construction of the Point Chevalier to Westmere cycling, bus and walking improvements scheme.

Whakarāpopototanga matua

Executive summary

2. Improvements to cycling, walking and bus infrastructure along a route from Point Chevalier to Westmere via Point Chevalier Road, Meola Road and Garnet Road has been developed under the Urban Cycleway Programme.

3. Work on these projects were paused during 2020 following the COVID-19 Emergency Budget. These projects are now being reviewed in light of Council’s budget pressures and Auckland Transport is seeking feedback from the local board on whether to progress the project to construction phase.

4. The project started in 2016 and public consultation was held in 2017 and 2019 with a post-COVID check-in during 2022. A high level of local support was expressed in the formal consultation exercises. Community and media conversation on the scheme (and two other schemes in neighbouring Waitematā Local Board area) has triggered over 50 letters of support from within the community and wider stakeholders, and five letters of opposition asking for schemes to be paused (mainly in relation to loss of parking associated with the Great North Road scheme).

5. Local board views will be presented to the Auckland Transport Board in February 2023 and Auckland Council Transport and Infrastructure Committee in March 2023.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) endorse the construction of the cycling, walking and bus improvements along Point Chevalier Road and Meola Road, as part of the Pt Chevalier to Westmere project.

Horopaki

Context

6. Auckland Transport have developed improvements for people who travel by foot, bike, or bus within the inner-west suburbs of Pt Chevalier, Westmere and Grey Lynn. Protected cycleways, separated from traffic, are a key feature of each project. The routes expand Auckland’s growing cycleway network.

7. The Point Chevalier to Westmere Improvements project was developed in consultation with local residents and businesses and spans from Great North Road to West End Road via Point Chevalier Road, Meola Rd and Garnet Road. The project crosses the boundary from Albert-Eden Local Board area into Waitematā Local Board area.

8. Work on these projects paused during 2020 following the COVID-19 emergency budget. These projects are now being reviewed in light of Council’s budget pressures.

Tātaritanga me ngā tohutohu

Analysis and advice

9. Auckland Transport has worked with the local community since 2016 to develop a scheme that provides:

· Continuous cycle tracks along Point Chevalier Road and Meola Road.

· A short section of bus lane along Meola Road.

· Safety improvements and additional pedestrian crossings mid-block and at side streets.

· Additional street trees.

· Storm water separation and undergrounding of power lines.

· Refurbishment and raising of the carriageway of Meola Road.

10. For more information, please refer to the project website: Point Chevalier to Westmere improvements (at.govt.nz).

11. 51 per cent of capital funding for the cycle, bus and pedestrian improvements is provided by central government, with an Auckland Council share of around $18 million.

12. The Council is already committed to spend $8.6 million on stormwater separation and $9 million on refurbishment of Meola Road during 2023. This work will proceed regardless of the cycle scheme.

13. The scheme was approved previously by the Auckland Transport Board and supported by the Albert-Eden Local Board.

14. Options for the scheme design started with route selection and public consultation in 2016. A concept design for the preferred route was developed with the community in 2017 through a second public consultation. This design was then refined through 2017-2018 following feedback from stakeholders.

15. Albert-Eden Local Board was represented on the Community Liaison Group from May 2018. The local board also provided comments at meetings in February and March 2019 in relation to updates from the project team and a further formal public consultation was undertaken.

16. The project was paused due to COVID-19, with re-engagement on the design for construction in early 2022 and subsequent commencement of enabling works including tree removal along Meola Road.

17. Benchmarking and examination of each component of the costs of this project was done and concluded that (for the extensive scope of the works) the costs were comparable to similar major projects.

18. The cycleway construction has been deliberately timed to coincide with other work scheduled for 2023/2024 to minimise traffic disruption. The Meola Road surface reconstruction and Auckland Council stormwater separation works will go ahead even if the cycleway is halted. Delivering the cycleway separately would bring additional construction costs and more disruptions to road users. Money has already been invested in the clearance of trees along Meola Road in anticipation of the project.

Tauākī whakaaweawe āhuarangi

Climate impact statement

19. Auckland Council has declared a climate emergency, Auckland Transport therefore urges Albert-Eden Local Board to consider prioritisation of projects that help reduce carbon emissions. The proposed projects will encourage walking and cycling reducing carbon emissions, as well as providing additional street trees that can help filter pollutants, absorb surface water and reduce surface temperatures. The planned work along Meola Road includes raising the surface and increasing drainage capacity to reduce future incidence of flooding.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

20. The scheme is aligned with the Regional Land Transport Plan and will contribute to the Transport Emissions Reduction Pathway.

21. The scheme provides sustainable access to the Auckland Councilowned attractions of Meola Reef Reserve, Seddon Fields, Western Springs Park, Museum of Transport and Technology (MOTAT) and Auckland Zoo.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

22. Albert-Eden Local Board had a representative on the community liaison group in 2018, had workshops on the project in 2019 and again in 2022.

23. This project connects local schools and shops in Point Chevalier, and along with other bus, walking and cycling projects in the Westmere and Grey Lynn area would help to offer safe alternatives to help alleviate pressure on parking and local roads associated with school and workplace travel.

Tauākī whakaaweawe Māori

Māori impact statement

24. The project consultation included input from local mana whenua representatives including choice of native trees for planting.

25. Both Auckland Transport and Auckland Council are committed to meeting their responsibilities under Te Tiriti o Waitangi (the Treaty of Waitangi) and its broader legal obligations in being more responsible or effective to Māori.

26. Auckland Transport’s Maori Responsiveness Plan outlines the commitment to 19 mana whenua tribes in delivering effective and well-designed transport policy and solutions for Auckland. AT also recognise mataawaka and their representative bodies and our desire to foster a relationship with them. This plan is available on the Auckland Transport website - https://at.govt.nz/about-us/transport-plans-strategies/maori-responsiveness-plan/#about

Ngā ritenga ā-pūtea

Financial implications

27. This scheme has an approved budget estimate of $37.3 million for the cycling, bus and walking priority measures. 51 per cent of this funding ($19 million) is from central government with the remainder (about $18.3 million) from Auckland Council’s capital budget.

28. In addition, $9.7 million is allocated to the reconstruction of Meola Road and $8.6 million to stormwater and sewage separation work.

29. No funding is required from Albert-Eden Local Board.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

30. The work was programmed to start in late 2022 but was paused for review in light of Auckland Council budget challenges. Delaying a decision to move to construction could have a significant impact on delivery timelines and ultimately may put the central government funding at risk.

31. Feedback from the local board on this scheme is will be provided to the Auckland Transport Board and Auckland Council Transport and Infrastructure Committee.

Ngā koringa ā-muri

Next steps

32. The Auckland Transport Board will make a recommendation about whether this scheme should proceed to construction at a meeting in late February. It is expected that their recommendation will then be considered by the Auckland Council Transport and Infrastructure Committee for a final decision.

Ngā tāpirihanga

Attachments

There are no attachments for this report.

Ngā kaihaina

Signatories

Author

Adrian Lord, Auckland Transport Head of Cycling

Authorisers

Caroline Tauevihi, Auckland Transport Central Hub Manager

Nina Siers - Local Area Manager

Albert-Eden Local Board

23 February 2023

Auckland Council’s Performance Report: Albert-Eden Local Board for quarter two 2022/2023

File No.: CP2023/01084

Te take mō te pūrongo

Purpose of the report

1. To provide the Albert-Eden Local Board with an integrated performance report for quarter two, 1 October – 31 December 2022.

Whakarāpopototanga matua

Executive summary

2. This report includes financial performance, progress against work programmes, key challenges the board should be aware of and any risks to delivery against the 2022/2023 work programme.

3. The key activity updates from this period are:

· $10,908 of funding was granted through the Community Grants Programme (ID 76).

· Climate Action Programme (ID 534): following the adoption of the Albert-Eden Climate Action Plan at the board's September 2022 business meeting, staff are on track to recruit a contractor. The contracted climate activator will then work on developing a workplan that will be presented to the local board by March 2023.

· 1430 volunteer hours were contributed through the Ecological and Environmental Volunteers Programme (ID 520).

· 100 volunteer hours were contributed through the Bike Hub - Albert-Eden Programme (ID 538) at the Tumeke Cycle Space Bike Hub.

· Citizenship ceremonies Albert-Eden (ID 71): the Civic Events team delivered two citizenship ceremonies in quarter two, with 278 people from the local board area becoming new citizens.

4. Auckland Council (Council) currently has a number of bonds quoted on the NZ Stock Exchange (NZX). As a result, the Council is subject to obligations under the NZX Main Board & Debt Market Listing Rules and the Financial Markets Conduct Act 2013 sections 97 and 461H. These obligations restrict the release of half-year financial reports and results until the Auckland Council Group results are released to the NZX on or about 28 February 2023.

5. Due to these obligations the financial performance attached to the quarterly report is excluded from the public.

6. The Customer and Community Services capital budget has been revised to incorporate delayed delivery, earlier commencement of individual projects or other changes that are of material value.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) receive the performance report for quarter two ending 31 December 2022.

b) note the financial performance report in Attachment B of the agenda report will remain confidential until after the Auckland Council Group half-year results for 2022/2023 are released to the New Zealand Exchange (NZX), which are expected to be made public on 28 February 2023.

Horopaki

Context

7. The Albert-Eden Local Board has an approved 2022/2023 work programme for the following operating departments:

· Customer and Community Services

· Infrastructure and Environmental Services

· Plans and Places.

8. The graph below shows how the work programme activities meet Local Board Plan outcomes. Activities that are not part of the approved work programme but contribute towards the local board outcomes, such as advocacy by the local board or projects funded through the Local Board Transport Capital Fund, are not captured in this graph.

Graph 1: Work programme activities by outcome

Tātaritanga me ngā tohutohu

Analysis and advice

9. The graph below identifies work programme activity by RAG status (red, amber, green and grey) which measures the performance of the activity. It shows the percentage of work programme activities that are on track (green), in progress but with issues that are being managed (amber), and activities that have significant issues (red) and activities that have been cancelled/deferred/merged (grey).

Graph 2: Work programme by RAG status

Chart, pie chart

Description automatically generated

10. The graph below shows the stage of the activity in each departments’ work programmes. The number of activity lines differ by department as approved in the local board work programmes.

Graph 3: Work programme by activity status and department

Chart, waterfall chart

Description automatically generated

Key activity updates

Outcome 1: Resilient, connected and empowered communities who value diversity

11. Albert-Eden Schools Cultural Festival (ID 1502): The event was delivered successfully on 26 November 2022 and was well attended. An accountability report will be provided in the next quarter.

12. Community Grants Programme (ID 76): $10,908 of funding was granted to community groups.

Outcome 2: Neighbourhoods that reflect and value our heritage and unique identity now and into the future

13. Tātou Belonging - we bring communities together (ID 1083): Libraries across Albert-Eden were able to run programmes that were of interest to sectors of their diverse communities.

14. Citizenship ceremonies Albert-Eden (ID 71): the Civic Events team delivered two citizenship ceremonies in quarter two, with 278 people from the local board area becoming new citizens.

Outcome 3: High-quality natural environments and sustainable lifestyles

15. Urban Ark Strategic Plan implementation Albert-Eden (ID 527): This quarter Urban Ark provided a Pest Free Gladstone trap and extended the boundary of Pest Free Balmoral east to ‘The Drive’. Predator control in Chamberlain Park is having a marked reduction, and additional trappers have been trained including a new trapline. Events include a rubbish clean-up in Fowlds Park, weeding bees in Walmer Reserve, and bushland next to the new Waiōrea Community Recycling Centre.

16. Waitītiko / Meola Creek Restoration Albert-Eden (ID 540): Site visits have been carried out with the Trees for Survival coordinator, St Lukes Environmental Restoration Society, the Kanuka Street group and Te Ngahere. The Trees for Survival schools and scout den have begun propagating plants for the 2023 planting days. A community meeting was held at the Auckland Zoo, on 23 November 2022, for groups working along the length of the Waitītiko Awa and was well attended by community, school representatives and local board members.

17. Climate Action Programme (ID 534): following the adoption of the Albert-Eden Climate Action Plan at the board's September 2022 business meeting, staff are on track to recruit a contractor. The contracted climate activator will then work on developing a workplan that will be presented to the local board by March 2023.

18. 1430 volunteer hours were contributed through the Ecological and Environmental Volunteers Programme (ID 520) and 100 volunteer hours were contributed through the Bike Hub - Albert-Eden Programme (ID 538) at the Tumeke Cycle Space Bike Hub.

Outcome 4: A strong local economic with thriving town centres

19. Placemaking: Thriving town centre local placemaking (ID 61): The Thriving Town Centre Economic Development and Recovery Initiatives Expression of Interest opened on 2 November 2022 and closed on 22 January 2023. Business associations have been meeting with staff to discuss applications. Phase 4 of the Mt Albert Town Centre project focused on town centre safety, and a "Coffee with a Cop" session was held on 16 November 2022. Key stakeholders including NZ Police, Community Patrols, Kāinga Ora staff, community groups, local council members and staff met at the Neighbourhood Support Mt Albert office. Approximately 80-90 businesses received a newsletter update with information on local safety agencies, crime prevention, the Awhi initiative, car theft, and Community Cam.

Outcome 5: Parks and community facilities meet a wide range of needs

20. Phyllis Reserve - renew - carpark stage two (ID 30561): this project was completed in November 2022.

21. Heritage stone walls - restoration - Albert Eden (ID 30859): Stone wall restoration at Melville Park has been completed.

22. Mt Albert Aquatic Centre - renew - minor equipment (ID 31589): Physical works for stage two have been completed, all concourse matting has been installed.

23. Nixon Park - renew - toilets and changing rooms (ID 21723): this project was completed in November 2022.

24. Community leases at Nicholson Park, ex-bowling greens and clubs rooms (ID 3179), and Warren Freer Park (ID 3174) have been completed.

Activities with significant issues

25. One project is identified as having significant issues: Te Kete Rukuruku (Māori naming of parks and places) Tranche One (ID 691). No agreement has been reached to enable naming to occur.

26. Pt Chevalier library (ID 1078) was closed on 7 October 2022 due to health, safety and wellbeing issues with the building. Programmes and services usually run from Pt Chevalier have been adjusted including the mobile library attending the town centre on Tuesday and Thursday, holds being managed at Mt Albert library and additional programmes being run at neighbouring libraries to meet increased demand. A pop-up library in Pt Chevalier community centre to open in February 2023. Work is underway on options for remediation of the building and future service opportunities.

Activities on hold

27. The following work programme activities have been identified by operating departments as on hold:

· LDI - minor upgrades - community facilities (ID 17736)

· Lease - Marist Rugby League Football Club, Murray Halberg Park (ID 3522).

Changes to the local board work programme

Cancelled activities

28. The following activities were cancelled:

· Carols at Potters Park Christmas event (ID 75) was cancelled due to bad weather. This incurred costs as it was cancelled on the day. A total of $5,889.40 remains for reallocation.

· One event included in the work programme line Event partnership fund (ID 74), Brazilian Day, was cancelled. $5,000 allocated to this event is now available for reallocation.

Tauākī whakaaweawe āhuarangi

Climate impact statement

29. Receiving performance monitoring reports will not result in any identifiable changes to greenhouse gas emissions.

30. Work programmes were approved in June 2022 and delivery is underway. Should significant changes to any projects be required, climate change impacts will be assessed as part of the relevant reporting requirements. Any changes to the timing of approved projects are unlikely to result in changes to emissions.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

31. When developing the work programmes council group impacts and views are presented to the boards. As this is an information only report there are no further impacts identified.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

32. This report informs the Albert-Eden Local Board of the performance for ending 31 December 2022.

Tauākī whakaaweawe Māori

Māori impact statement

33. The local board’s work programme contains a number of projects which provide direct outcomes for Māori, such as:

· Local Māori Aspirations (ID 60). Staff continued working the connections with different networks and projects such as the Manager Māori Service Innovation, Te Mahurehure Marae, the community engagement team at the Tupuna Maunga Authority, the Albert-Eden Arts Broker and the coordinator from Chinese Conservation Education Trust, to understand each other's work and options for collaboration.

· Whakatipu i te reo Māori - we grow the Māori language (ID 1079): Staff continue to grow their Te Reo and Tikanga Māori knowledge and are evaluating how we use Te Ao Māori in service and programme design.

34. The local board through its work programme responds and delivers upon council’s Māori Responsiveness Framework through the following actions:

· Fostering and building strong relationships with mana whenua and mataawaka by ensuing their views are considered prior to making decisions on local projects.

· Embedding mana whenua customary practices within the development of local projects (for example, blessings at sod-turnings).

Ngā ritenga ā-pūtea

Financial implications

35. This report is provided to enable the Albert-Eden Local Board to monitor the organisation’s progress and performance in delivering the 2022/2023 work programmes. There are no financial implications associated with this report.

36. There has been budget underspend identified for reallocation from the activities covered from 1 October 2022 until 31 December 2022. At the time of writing this report other activities have also been cancelled but the available budget is unknown. Therefore, staff will present an additional report to the local board before the next quarterly performance report, to be able the reallocation of underspent budget

Financial Performance

37. Auckland Council (Council) currently has a number of bonds quoted on the NZ Stock Exchange (NZX). As a result, the Council is subject to obligations under the NZX Main Board & Debt Market Listing Rules and the Financial Markets Conduct Act 2013 sections 97 and 461H. These obligations restrict the release of half-year financial reports and results until the Auckland Council Group results are released to the NZX on 28 February 2023.

38. Due to these obligations the financial performance attached to the quarterly report is excluded from the public.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

39. While the risk of non-delivery of the entire work programme is rare, the likelihood for risk relating to individual activities does vary. Capital projects for instance, are susceptible to more risk as on-time and on-budget delivery is dependent on weather conditions, approvals (e.g., building consents) and is susceptible to market conditions.

40. Information about any significant risks and how they are being managed and/or mitigated is addressed in the ‘Activities with significant issues’ section.

Ngā koringa ā-muri

Next steps

41. Staff will continue to monitor underspend from cancelled projects and will report to the local board to allow to reallocation of underspent budget.

42. The local board will receive the next performance update following the end of quarter three, 31 March 2023.

Ngā tāpirihanga

Attachments

No.	Title	Page
a ⇩	Albert-Eden Local Board Work Programme 2022/2023 Q2 Report	31
b ⇩	Albert-Eden Local Board Financial Report 31 December 2022 - Confidential

Ngā kaihaina

Signatories

Author

Canela Ferrara - Local Board Advisor

Authorisers

Louise Mason - General Manager Local Board Services

Nina Siers - Local Area Manager

Albert-Eden Local Board

23 February 2023

Local board feedback on the draft Future for Local Government report

File No.: CP2023/00083

Te take mō te pūrongo

Purpose of the report

1. To seek feedback from local boards on the Draft Report released by the Future for Local Government Review Panel.

Whakarāpopototanga matua

Executive summary

2. The Future for Local Government Review Panel released its Draft Report (the Report) for consultation on 28 October 2022.

3. Auckland Council is preparing a submission in response to the Report. Submissions close on 28 February 2023.

4. The Report makes 29 recommendations on a wide range of areas including: revitalising citizen-led democracy, achieving Tiriti-based partnership between Māori and local government, the approach to allocating roles and functions across different players, achieving genuine partnership between central and local government, more equitable funding, designing a local government system to enable the change we need, and putting in place effective system stewardship.

5. Auckland Council has previously reached positions on some of the Report’s recommendations through programmes of work or engagement with central government. These positions will be the starting point for preparing the submission but there will be an opportunity for this council to reconsider those positions.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) provide feedback on the Draft Report to inform the council’s draft submission.

Horopaki

Context

6. The Minister for Local Government established the Future for Local Government Review (the Review) in April 2021 and established a Review Panel (the Panel). The purpose of the Review is to identify how our local democracy and governance system needs to evolve over the next 30 years, to improve the wellbeing of communities and the environment and to actively embody the Treaty partnership.

7. The Panel released its Interim Report in October 2021. The case for change described a local government under pressure without all the levers needed to deliver on community wellbeing. The sector therefore needs to work collaboratively with others including central government, iwi/Māori organisations, the business sector and community groups. It noted that trust had broken down and that there is a need for greater understanding between central government and local government.

8. The Panel released its Draft Report He mata whāriki, he matawhānui on 28 October 2022. The Report can be found at: https://www.futureforlocalgovernment.govt.nz/reports/

9. The Report makes 29 recommendations and asks a range of questions intended to inform the Final Report to the Minister.

10. The Panel states that we are in a period of change (climate change, pandemics, biodiversity loss, social and economic inequity). This is causing many of our communities to lose trust in democratic institutions and to disengage. Government reform is creating further uncertainty for the role of local government in communities.

11. The challenges facing Aotearoa New Zealand are too big for central government to address alone. Local government has a fundamental role to play in responding to these complex issues and improving the wellbeing of communities. This will require renewal and change (shifts) to many aspects of the local government system.

12. The Panel previously indicated five shifts are needed to make this change: strengthened local democracy, authentic relationships with hapū/iwi and Māori, a focus on wellbeing, genuine partnership between central and local government, and more equitable funding. Two additional shifts – system design and stewardship – will also need to be considered.

13. The Report sets out recommendations and asks questions in relation to: revitalising citizen-led democracy, Tiriti-based partnership between Māori and local government, allocating roles and functions, local government as champion and activator of wellbeing, replenishing and building on representative democracy, and equitable funding and finance.

14. Following the release of the Report, the Review Panel undertook a further round of engagement with the local government sector across New Zealand. This included three in-person sessions with local board members in Auckland on 5 and 6 December 2022.

15. The Governing Body has approved the preparation of an Auckland Council submission in response to the Report. Submissions are due by 28 February 2023.

16. The Panel’s Final Report is due with the Minister by June 2023. Any response to the Panel’s final recommendations will be a decision for the next government.

Tātaritanga me ngā tohutohu

Analysis and advice

17. The purpose of the Review is highly relevant to local government and Auckland Council.

18. Some recommendations in the Report are of a functional order (e.g. allocation of roles), some more foundational (e.g. Te Tiriti based partnerships) and some about the ‘system’ we work within. The Report does not necessarily set out all the relationships/interdependencies between the components.

19. It is proposed that the council’s submission draws these connections where possible to ensure there is a clear understanding of how all elements of the future system will work together and potential impacts and risks. Council should also seek further clarity on the future funding framework for local government and the pathway to build the required capability and capacity to carry out its future role.

20. The council has formed positions in previous terms on a number of recommendations contained in the Report. These will be the starting point for preparing the submission but there will be an opportunity for this council to reconsider those positions through the drafting process.

Tauākī whakaaweawe āhuarangi

Climate impact statement

21. The Report acknowledges that councils have a significant role in mitigating and adapting to climate impacts in their areas. It also notes that the future climate challenge for local government is likely to be greater than the challenge it has faced over the past 30 years to address the infrastructure deficit.

22. Current funding streams to manage the impacts of climate events are already being challenged, placing many communities at risk and requiring a long-term approach to addressing these issues. The sums involved to mitigate and respond to climate effects are likely to be significant.

23. Accordingly, the Report recommends (recommendation 23) that central government develops an intergenerational fund for climate change, with the application of the fund requiring appropriate regional and local decision-making input.

24. In its submission on the Draft National Adaptation Plan earlier this year, Auckland Council argued that central government funding is crucial and must have a long-term focus.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

25. CCO chairs and chief executives have been provided with a summary and high-level analysis of the Report.

26. CCO staff are included in the experts across the council group who will develop the council’s submission for approval.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

27. The Report proposes that putting wellbeing at the core of council’s purpose and its roles and functions will unlock greater wellbeing outcomes for communities. Councils have an opportunity to strengthen and expand their role in three key ways: as anchor institutions, place-makers, and systems networkers and convenors.

28. The Report also proposes a framework to guide the allocation of roles and functions between different actors: central government, local government, hapū/iwi and community. The framework starts with a local-first approach (the subsidiarity principle) and is guided by te ao Māori values.

29. The Panel has engaged with local board members over the course of the Review in July 2021, March 2022 and most recently on 5 and 6 December 2022 through three separate in-person sessions held across Auckland.

30. Local board views on the Report are sought and will be incorporated into the council’s submission as appropriate. Formal local board feedback will be appended to council’s submission.

Tauākī whakaaweawe Māori

Māori impact statement

31. A finding of the Review is that the system needs to ensure a more meaningful expression of rangatiratanga and a more culturally specific exercise of kāwanatanga by councils, with te ao Māori values reflected at all levels of the system.

32. In response, the Report proposes fundamental changes to Te Tiriti o Waitangi provisions of the Local Government Act 2002, a strategic role for Māori in identifying and addressing priority outcomes that will lift community wellbeing, as well as strengthened specific mechanisms for partnership and engagement (including the incorporation of tikanga Māori).

33. It also proposes improvements to Māori representation at the council table, and a concerted investment in the capability and capacity of both local government and Māori to build and maintain a Tiriti-based partnership in local governance.

34. Staff have engaged with iwi on the system shifts proposed by the Panel at earlier stages in the Review process. Now that the Report has been released, iwi have been asked for their views to be considered for inclusion in council’s submission.

35. There has been ongoing engagement with IMSB staff on the Review and they will have an opportunity to review the council’s submission.

Ngā ritenga ā-pūtea

Financial implications

36. The submission will be developed within existing resources.

37. The recommendations of the Review Panel are multi-faceted and there is insufficient information to anticipate or quantify financial implications for the council.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

38. No risks have been identified in relation to preparation of council’s submission.

Ngā koringa ā-muri

Next steps

39. Staff are drafting a submission for the Governing Body’s approval at its meeting on 23 February 2023.

40. There will be a briefing on the Draft Report for local board members on 23 January 2023.

41. Local board views to be considered for incorporation into council’s submission must be received by 2 February 2023.

42. Formal feedback to be appended to council submissions must be received by 23 February 2023.

Ngā tāpirihanga

Attachments

There are no attachments for this report.

Ngā kaihaina

Signatories

Author

Denise O’Shaughnessy – Manager Strategic Advice

Authorisers

Carol Hayward – Team Leader, Operations and Policy

Louise Mason – General Manager, Local Board Services

Nina Siers - Local Area Manager

Albert-Eden Local Board

23 February 2023

Draft Contributions Policy 2022, Variation A

File No.: CP2023/00634

Te take mō te pūrongo

Purpose of the report

1. To seek feedback from local boards on the proposal (draft Contributions Policy 2022, Variation A) to add to the Contributions Policy 2022 projects planned to be delivered beyond 2031 to support growth in Drury.

Whakarāpopototanga matua

Executive summary

2. Development contributions (DCs) are charges that recover from new developments a fair share of the cost of the council’s investment in infrastructure. To date our contributions policy has only recovered a share of cost of our infrastructure investment planned in the next ten years.

3. The council has agreed to add projects beyond 2031 to the Contributions Policy for the Investment Priority Areas identified in the 10-year Budget 2021-2031 in stages starting with Drury. This will ensure early developers pay a fair share of the cost of the cumulative impact of growth on the council’s need to invest in infrastructure.

4. The Contributions Policy 2022 was adopted in December 2021 and provides for the recovery of $399 million of the investment planned to be delivered in Drury in the period to 2031. The contributions price in Drury under this policy, including regional and sub-regional charges, is $22,564 per household equivalent unit (HUE – a house between 100m² and 249m²). We are now proposing to vary this policy to add investments we plan to deliver beyond 2031 to support development in Drury.

5. The original proposal was consulted on in late 2021 as part of the consultation on the region-wide Contributions Policy 2022. At that time, the majority of local boards were in support of the changes proposed in the draft Contributions Policy 2021

6. The Finance and Performance Committee considered the report on the proposal, which included local board views, at its meeting on 9 December 2021. The committee agreed to defer a decision on adding investment beyond 2031 to the Drury area to allow for the provision of further information requested by developers and additional time to make submissions once that information was provided.

7. The original proposal consulted on was revised accordingly and more information produced. The updated proposal included $2,470 billion of investment in Drury beyond 2031 of which $1.142 billion was to be funded by DCs. This would raise the average DC price in Drury by $60,687 to $83,25. Public consultation opened on 13 September 2022 for eight weeks, instead of the usual four weeks, and closed on 8 November 2022.

8. Sixty submissions were received, 33 of which were from those in the development community. The proposal was supported by 35 per cent of all submitters with 50 percent not in support. A further 15 per cent did not clearly state their views on the proposal.

9. This report summarises the key points made in submissions and notes officers’ initial analysis of the issues raised.

10. Local board feedback is sought to inform the Governing Body’s consideration of the adoption of the proposal planned for April 2023. The report to the Governing Body will also be updated reflecting officers' final analysis of the responses to submissions, updates reflecting additional work that has been undertaken since consultation and in particular to incorporate the latest economic forecasts and recent government decisions on their investment in Drury.

Ngā tūtohunga

Recommendation/s

That the Albert-Eden Local Board:

a) whakaae / approve feedback from local boards on the draft Contributions Policy 2022, Variation A.

Horopaki

Context

Development contributions and infrastructure investment

11. Development contributions allow for an equitable and proportionate share of the total cost of growth-related capital expenditure to be recovered from the development community. The Contributions Policy sets out how the council will recover from new development an appropriate and fair share of the cost of infrastructure investment attributable to growth.

Growth and infrastructure investment

12. Auckland’s population is expected to continue to grow in the next ten years on top of the rapid population growth we have experienced in the last decade, bringing the projected population to 1.8 million early next decade. We are forecasting the construction of 145,800 new dwellings in the next ten years. To support the development enabled by the Auckland Unitary Plan, we are facing both immediate and longer-term demands for infrastructure in growth areas. If we do not adequately plan for the delivery and funding of this infrastructure, the cumulative effects of this development could lead to an unfair rates burden on future ratepayers or a risk of infrastructure shortfalls for future residents.

Drury

13. Drury-Opāheke is projected to grow by 22,000 new houses over the next thirty years. The proposal identified that an infrastructure investment of $2,869 billion will be required to support this growth. This investment will include a public and active transport led approach to transport infrastructure, parks and open spaces, and a new community facility that will include a local pool, leisure centre and library.

14. Investment in Drury will take around 30 years to deliver. The Contributions Policy 2022 only requires developers to contribute to the $399 million of investment we plan to make over the next 10 years. Without DC funding for a share of the $2.470 billion investment planned beyond 2031, there is a risk that those undertaking development will not contribute a fair, equitable, and proportionate portion of the capital expenditure necessary to service long-term growth. This risk could lead to shortfalls in the provision of infrastructure for the future residents of Drury and additional and/or additional demands on the city’s ratepayers.

Consultation 2021 and decisions

15. In 2021 the council consulted on a proposal to add investments planned to be delivered in Drury beyond 2031 to the 2022 policy and over the next year to the other Investment Priority Areas (IPAs) identified in the 10-year Budget 2021-2031. The IPAs are Inner Northwest, City Rail Link stations and Auckland Housing Programme (AHP) areas (Tāmaki, Mangere, Northcote, Oranga, and Mt Roskill). This would avoid an unfair rates burden on future ratepayers or the risk of infrastructure shortfalls for the future residents of new developments. The majority of local boards supported the original proposal.

a) The Finance and Performance Committee considered a report on the proposal at its meeting on 9 December 2021 (FIN/2021/119). The committee agreed in principle to add investments beyond 2031 to the Investment Priority Areas but deferred a decision on adding investment beyond 2031 to the Drury area. This was intended to allow the provision of more information to developers and other interested parties and allow more time for them to make further submissions with the benefit of this information.

Tātaritanga me ngā tohutohu

Analysis and advice

Updated proposal for consultation in 2022

16. In response to the council’s direction (resolution FIN/2021/119 b), staff undertook substantial additional work internally, commissioned five external expert reviews of our methodology and key economic issues, and sought expert transport planning and engineering advice on the proposed investments.

17. The original proposal consulted on was revised by updating our forecasts for the timing and location of growth within Drury and of construction costs, land price inflation, and interest rates.

18. External reviews were sought on our growth forecasting, cost estimation, and approach to calculating the share of costs to be recovered from developers. Recommendations from these reviews were applied to our calculations of the contributions charges for projects to be delivered beyond 2031 in Drury for inclusion in the proposal consulted on. These changes will also be considered for incorporation into the wider contributions policy as part of our future policy reviews.

19. Additional analysis of the distribution of the benefits of the proposed transport projects within Drury was also undertaken. The proposal consulted on allocated the transport costs to be recovered from development contributions to four new funding areas within Drury and to the relevant neighbouring areas. Adjustments were also made to neighbouring funding areas to reflect the benefits from community facilities investments, the regional transport funding area for wider transport benefits, and to the regional community facilities funding area for the library accordingly and more information produced.

20. Following completion of the work above the investments planned for beyond 2031 included in the consultation were:

a) $1.882 million in transport including arterial roads and key elements of the collector network to provide an integrated public and private transport network and active transport investment connecting Drury to the wider city (in addition to the $243 million council has already committed to invest before 2031)

b) $403 million for 43 new parks, with a total land requirement of 32.4 hectares (in addition to the $156 million council has already committed to invest before 2031)

c) $185 million for a single multi-purpose facility including a community facility, leisure centre, library, and local pool.

21. Stormwater requirements for Drury beyond 2031 will be identified and added to the contributions policy as more information becomes available on the location and form of development.

22. Of the $2.470 billion of projects, the proposal identified for delivery beyond 2031, $1.142 billion was proposed to be funded by developers through our contributions policy. This additional revenue requirement would raise the contributions price for Drury by an average of an additional $60,687, per household equivalent unit (HUE) to a total of on average $83,251 per HUE. Different charges would apply to different geographical areas based on the benefits accruing to each area.

Consultation

23. Public consultation opened on 13 September 2022 for eight weeks and closed on 8 November 2022. Additional information provided included 13 documents and two spreadsheets to allow submitters to better understand the proposal. These can be found on the council’s Have Your Say page.

24. During the consultation period, those from the development industry requested further information and in response the following additional materials were provided:

· Transport cost estimates for Drury. Further details on individual construction cost elements for transport projects

· Growth and HUE forecast. Spreadsheet outlining data used to forecast growth

25. Around 336 stakeholders were directly approached to advise them of the consultation. A media release was issued, and an article appeared in Our Auckland at the start of the consultation period. The consultation was also promoted through the council’s Engagement and People’s Panel newsletters. Forty-four people participated in the Have Your Say events held to support the consultation.

26. Two online and two face-to-face Have Your Say (HYS) events were held. Staff also attended a drop-in session in Drury organised by Waka Kotahi, two meetings organised by Drury developers, and a session organised by the Property Council of New Zealand. There were 44 attendees across all events representing 39 organisations. Officers also provided briefings to Waka Kotahi and the Ministry of Housing and Urban Development.

27. An opportunity for developers to present their submissions directly to the Governing Body at a Have Your Say event was provided on 14 December 2022. Developers were given a ten-minute slot with five minutes for their presentation followed by 5 minutes for questions from the decision-makers. The mayor and 16 councillors, heard presentations from 14 organisations at the session.

Feedback and Analysis

28. Sixty submissions were received. Overall, the proposal was supported by 35 per cent of submitters with 50 percent opposing it. A further 15 per cent did not clearly state their support or otherwise to the proposal. Key themes raised in the submissions are identified below. The submissions received in the consultation are available to elected members on the council’s meeting management system Nexus.

29. 26 individuals and one Māori organisation provided feedback. Of these, 69 per cent were in support of this proposal, 15 per cent did not support the proposal while the views of 15 per cent of submitters were not clearly stated.

30. Eleven of the individuals who supported the proposal commented that it was fair that developers should pay their fair share towards infrastructure. Those who did not state their support or otherwise thought that the council should support infrastructure development.

31. 33 responses were from those in the development industry. Responses from the industry show that 79 per cent opposed the proposal, six per cent supported it and 15 per cent did not state a clear view. Key themes from the developers’ feedback are outlined below.

Impact of higher development contributions

Feedback

32. Developers’ submissions noted the following concerns that higher DCs will:

· lead to higher house prices as developers seek to recover the increased costs. Developers who had already purchased land commented that they will be particularly disadvantaged as the increased DCs have not been included in the costs of their development

· lead to Drury being treated unfairly in relation to the rest of the city with much higher DCs

· discourage the construction of affordable housing as developers seek to recover higher costs with more expensive developments

· redirect development from Drury to other areas of the city with lower DC prices. Lower DCs are charged in wealthy established central parts of the city where infrastructure is already in place whereas incoming residents to Drury, where affordable housing can be built, are less able to afford higher DCs

· encourage land banking in Drury until house prices rise further or the policy changes.

Analysis

33. For developers who have purchased land recently higher DCs will put pressure on their margins. While staff acknowledge the impact a substantial increase in contributions charges is required if developers are to meet a fair share of cost of the investments required to support Drury’s development. The DCs charged in Drury will be higher than those in other parts of the city but this will reflect the council’s commitment to invest in infrastructure in Drury.

34. In feedback received from the original consultation, developers expressed concern about the equity of charging them now for investments that wouldn’t be delivered until the next decade. Our independent expert advice confirms the council’s previously presented analysis: that while the physical infrastructure wouldn’t be delivered until later, current landowners still benefit from the commitment to deliver in terms of higher land values. Furthermore, development occurring during the early years of this policy still contributes to the need for planned capital expenditure that will be incurred beyond 10 years’ time.

35. The independent economic consultants were asked for their views on the equity of our proposal to consider the likely impact of the proposal on house prices, and the viability of development in Drury. The consultants concluded that while the DC price will lower the price developers are willing to pay for land, this reduction is much lower than the increase in land value arising from the planning changes that enable housing development. There may be an indirect effect on the sequence of sites getting taken up for new housing across the city in the short term as development adjusts around a new equilibrium. However, this will be small relative to other market factors. Higher DCs may be an additional cost to development and could be argued to increase the return to holding land undeveloped however, earlier delivery of infrastructure funded by DCs is likely to accelerate development. The full report was included in the supporting documents pack released as part of the consultation process.

Complexity with a 30-year time frame

Feedback

36. Comments were provided on the accuracy of information on infrastructure requirements planned over a 30-year timeframe, including the assurance that revenue collected today will be used for future investment in infrastructure. Other comments from submitters include:

· possibility that infrastructure will not be needed resulting in over collection of DCs

· impact of inflation on delivery of projects over time adds complexity

· complexities arise around the accuracy of the price of infrastructure over a 30-year timeframe creating uncertainty. For example, when trying to estimate things such as inflation, delivery risks, costs of infrastructure, and future infrastructure demand over a 30-year period

· doubt that benefits will be received by early developers

· actions the council will have to take to ensure money collected today will be spent on delivery of the projects over 30-year period

· it is not clear what happens to the initially unspent portions of development contributions paid, but intended to fund works that are 1, 2 or 3 decades in the future.

Analysis

37. Forecasting capital expenditure over a 30-year horizon inevitably involves a higher degree of uncertainty than capex over the horizon of the 10-year Budget 2021-2031. However, the Local Government Act 2002 allows for development contributions to be recovered to fund capital expenditure to be incurred beyond the LTP period (10 years). The council may also vary the mix of projects for which development contributions will be used if there is a relevant change of circumstances relating to those projects, and the overall level of contribution does not increase.

38. Our contributions policy is reviewed every three years to ensure that our planned infrastructure investment continues to meet the need of the developing community and is appropriately costed using the latest available information. This enables us to respond to changing circumstances, while ensuring that our charges remain fair for developers.

Consideration of other sources of funding

Feedback

39. Several submitters considered the council should have given more consideration to alternative funding mechanisms before deciding to impose DCs. Submitters noted the council:

· has not demonstrated sufficient consideration of alternative funding methods such as Infrastructure Funding and Financing through the Crown Infrastructure Partners

· should consider the use of other funding and financing tools – such as targeted rates, congestion charging, Special Purpose Vehicles through the Funding and Financing Act and Specified Development Areas through the Urban Development Act – alongside DCs.

· should consider using targeted rates to cover the costs of infrastructure that cannot easily be identified with sufficient certainty, subject to these rates being ringfenced for sole use on infrastructure to facilitate growth in the specific area in which the targeted rate applies.

Analysis

40. The council’s Revenue and Financing Policy notes that at present DCs will be used to fund growth infrastructure. However, the Revenue and Financing Policy also makes provision for the use of other tools such as targeted rates and would also allow the use of levies under the Infrastructure Funding and Finance Act. All these tools have the same effective revenue for the council and cost for developers and landowners (the net present value is the same) but are triggered at different times.

41. These options remain open to the council and can be used in combination with development contributions. The first step under any of these options is to establish the investments required to support growth in the IPAs and the appropriate share to be recovered from developers or landowners. All tools need to be applied early in the process to ensure early developments pay their share. The potential application of these funding tools will be considered in the advice to council in April.

Accuracy and assumptions used in the model

Feedback

42. Comments were provided on the accuracy of information on infrastructure requirements planned over a 30-year timeframe, including the assurance that revenue collected today will be used for future investment in infrastructure. Submitters also noted:

· concern that the costings for the various projects incorporate excessive assumptions in respect of construction cost, contingency funding cost, and general inflation.

· the recent plan changes which have not been considered

· the model includes invalid assumptions concerning developer funded mitigation works and DC funded works, likely to lead to double dipping and over-recovery.

43. Comments on projects were also provided:

· the new policy encourages the council to design projects that are “gold plated” and have higher initial capital expenditure

· changes in transport patterns (e.g., mode share, e-bike subscriptions and sharing platforms) will influence future transport requirements.

· the full list of transportation projects arrived at by Supporting Growth Alliance has never been justified as being required to mitigate the effects of development in Drury East

· an independent audit of the proposed projects and their intended scale is requested to help ascertain how much of the increased cost relates to local rather than general factors

· the policy projects listed assumes that the council will purchase land from developers when in practice it is likely to require the land and infrastructure on it to be vested without charge or at a discount rate pursuant to the consent process will not incur these costs.

Analysis

44. A formal review was undertaken of the methodology the council uses to set DC charges. To do this, three external advisors were contracted to review our methods for growth forecasting, cost estimation, and how we assess the beneficiaries that underpin the DC charge calculations.

45. The feedback from our earlier consultation, the recommendations of these reviews, and our updated data models have allowed the DC calculation methodology to be refined to better suit the specific circumstances of Drury. The financial models were updated following a review conducted in November 2021. No errors in logic or in the functionality were identified in a review conducted in November 2022.

Updates to proposal

46. Further analysis of the feedback raised by developers will be presented to the Governing Body for decision making, planned for April 2023 and will include potential changes to the proposed amendment. Officers are in the process of updating the proposal to incorporate further work we have undertaken since consultation concluded to:

· respond as appropriate to issues raised in submissions including in the key areas noted below

· refine the projects and project costings in the proposal including

o estimates of developer mitigation - roading investments that developers will be required to provide as a condition of consent

o property costing

o investment decisions by the government

o community facilities funding areas

o transport funding areas

· update the forecasts of the following factors to reflect the latest economic conditions and predictions:

o growth in the Drury area – reflecting recent plan change decisions

o interest rates

o construction cost inflation

o land price inflation.

Compliance

47. Some submitters expressed a view that the proposal is not legally compliant and that there may be a case for a judicial review. Staff advice on the Contributions Policy is given in the context of highly prescriptive provisions of the Local Government Act 2002 (LGA) which cover the content of a contributions policy and the assessment of contributions. These provisions are the only source of the council’s power to require development contributions and must be strictly complied with.

48. Staff have reviewed the proposal and will consider the matters raised in submissions giving consideration to the legislative requirements in the LGA, including specific content requirements for development contributions policies, and the council’s Revenue and Financing Policy.

Tauākī whakaaweawe āhuarangi

Climate impact statement

49. Recommendations in this report have a neutral climate impact as they relate to the funding of capital investment rather than decisions on the activities to be undertaken.

Ngā whakaaweawe me ngā tirohanga a te rōpū Kaunihera

Council group impacts and views

50. The information presented on the projects included in the draft Contributions Policy 2022 Variation A was developed in conjunction with the following council-controlled organisations and council units:

· Auckland Transport

· Community Facilities

· Community and Social Policy

51. The Chief Economist Unit and Research Investigations and Monitoring Unit worked with us on growth and economic forecasts, the impact of higher development contributions on the pace of development, and on land and house prices.

Ngā whakaaweawe ā-rohe me ngā tirohanga a te poari ā-rohe

Local impacts and local board views

52. The Drury funding area in the proposal is within the Franklin and Papakura local board areas. The recommendations in this report support a higher level of infrastructure investment in the Drury area and sets a higher DC price in this area.

53. Local board feedback is sought to inform the Governing Body’s consideration of the adoption of the Contribution Policy 2022, Variation A in April 2023.

Tauākī whakaaweawe Māori

Māori impact statement

54. Development contributions are assessed against the demand that different types of development generate on council infrastructure. Māori developments are assessed under broader development types based on the demand they generate. For example, kaumātua housing is treated the same as retirement villages, and marae are considered under community facilities. As more Māori developments occur, evidence of demand generation can be used to reclassify developments or create new development types.

55. Eleven iwi authorities (with mana whenua interests) in the Drury area were contacted prior to the start of consultation to seek expressions of interest in discussing and providing feedback on the proposed changes. All iwi authorities were also notified when consultation opened, further advising of how they could have their say. Opportunities to present to the Mana Whenua forum, the Independent Māori Statutory Board and other council forums were explored, however, this topic was not seen as a priority area at the time. One response supporting this proposal was received from mana whenua who considered this was a fairer way to fund the required infrastructure.

Ngā ritenga ā-pūtea

Financial implications

56. There are no financial implications from requesting local boards views.

57. The proposal provides for additional investment by the council beyond 2031 to support growth in Drury of $2.470 billion. The draft Contributions Policy, Variation A provides for $1.142 billion of this investment to be funded by DCs.

Ngā raru tūpono me ngā whakamaurutanga

Risks and mitigations

58. The recommendation requesting local boards views does not present any risk. The risks associated with amending the contributions policy will be set out in the report to the Governing Body planned for April 2023.

Ngā koringa ā-muri

Next steps

59. Feedback from the public consultation will be reported to the Governing Body in February 2023.

60. Staff will provide advice, options and responses to the issues raised in the feedback to the Governing Body to assist in their decision making.

61. A decision-making report to the Governing Body is planned for April 2023 and will include potential changes to the draft policy and local board feedback.

62. All local board feedback is due on 3 March 2023.

Ngā tāpirihanga

Attachments

There are no attachments for this report.

Ngā kaihaina

Signatories

Author

Andrew Duncan - Manager Financial Policy

Authorisers

Carol Hayward - Team Leader Operations and Policy

Louise Mason - General Manager Local Board Services

Nina Siers - Local Area Manager

Chairperson	Margi Watson
Deputy Chairperson	Kendyl Smith
Members	José Fowler
	Julia Maskill
	Christina Robertson
	Liv Roe
	Rex Smith
	Jack Tan

No.	Title	Page
a ⇩	Albert-Eden Local Board Workshop Record - 3 November 2022	159
b ⇩	Albert-Eden Local Board Workshop Record - 10 November 2022	163
c ⇩	Albert-Eden Local Board Workshop Record - 17 November 2022	167
d ⇩	Albert-Eden Local Board Workshop Record - 24 November 2022	171
e ⇩	Albert-Eden Local Board Workshop Record - 1 December 2022	175
f ⇩	Albert-Eden Local Board Workshop Record - 8 December 2022	179
g ⇩	Albert-Eden Local Board Workshop Record - 24 January 2023	183
h ⇩	Albert-Eden Local Board Workshop Record - 2 February 2023	185
i ⇩	Albert-Eden Local Board Workshop Record - 9 February 2023	187
j ⇩	Albert-Eden Local Board Workshop Record - 16 February 2023	189

Author	Canela Ferrara - Local Board Advisor
Authoriser	Nina Siers - Local Area Manager

Author	Michael Mendoza - Democracy Advisor
Authoriser	Nina Siers - Local Area Manager

No.	Title	Page
a ⇩	Albert- Eden Local Board - Urgent Decision - Feedback on Sale and Supply of Alcohol (Community Participation) Amendment Bill	131

Exclusion of the Public: Local Government Official Information and Meetings Act 1987